Canada’s Brascan Gold has struck three agreements with undisclosed firms (Optionor(s)) to pick a stake of up to 100% in three properties in northern and central Newfoundland, Canada.
The agreements cover the Mountain Pond, Birchy Lake and Miguel’s Lake properties.
According to the agreed terms, Brascan Gold will have the option to acquire a 100% interest in each of the properties by making aggregate cash payments of $168,000 and issuing an aggregate of 670,000 of its common shares.
The firm will also incur exploration expenditures of $725,000 on the property, before the fourth anniversary of the date of the agreements.
Brascan Gold CEO and director Balbir Johal said: “Brascan is excited to option the Birchy Lake, Miguel’s Lake and Mountain Pond gold properties.
“This substantially increases our portfolio of gold properties in Newfoundland, along with the Black Cat and Middle Arm Fault gold properties.
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“Brascan is funded to carry out exploration programmes shortly on all these properties and Alegre Gold Property in Para State, Brazil.”
Furthermore, the Optionor(s) will retain a 2.5% net smelter royalty (NSR) over the relevant property.
Located 6km north-east of Springdale on the tidewater of Halls Bay, the Mountain Pond property comprise six adjacent licences covering an area of 1,175ha.
Comprising three adjacent licences covering an area of 1,050ha, the Birchy Lake property is located 45km south-west of Springdale, at the north-east end of Birchy Lake.
The Miguel’s Lake property includes four adjacent licences, which cover 3,000ha at approximately 60km south-west of Newfound Gold’s Queensway Gold project.